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Egypt expects over 5% economic growth this year, says Al-Mashat

Businessmen Team news 06 December 2025 07:07 PM
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Egypt expects over 5% economic growth this year, says Al-Mashat

Dr. Rania Al-Mashat, Egypt’s Minister of Planning, Economic Development, and International Cooperation, received the International Monetary Fund (IMF) mission visiting Egypt to conduct the fifth and sixth reviews of the country’s economic reform program.

The meeting included a presentation on the latest developments in economic and structural reforms, the growth model under the “National Narrative for Economic Development,” the growth of Gross Domestic Product (GDP) in the first quarter of the current year, efforts to empower the private sector, and initiatives to enhance the governance of public investments.

Several senior ministry officials also attended the meeting.

During the session, Dr. Al-Mashat reviewed the GDP growth figures for the first quarter of the current fiscal year, which reached 5.3%, exceeding expectations. She highlighted that the most notable features of this growth include continued improvement in industrial production and higher growth rates in several sectors, such as automotive, textiles, and ready-made garments. This reflects Egypt’s shift toward highly productive and tradable sectors.

The Minister noted that, for the first time, the Ministry’s Quarterly GDP Bulletin includes structural reforms implemented during the period, which contributed to positive economic developments. This reinforces principles of transparency and good governance in presenting economic reform indicators.

Al-Mashat added that, with the ongoing pace of economic and structural reforms, Egypt’s economy is expected to achieve growth of at least 5% by the end of the current fiscal year. She also presented the Public Investment Governance Report for the previous fiscal year, which serves as a key pillar for maintaining macroeconomic stability and enhancing the efficiency of resource allocation. She emphasized that adherence to the investment ceiling of one trillion Egyptian pounds last year opened the door for increased private sector investment.

The Minister highlighted that the government launched the “National Narrative for Economic Development,” a comprehensive framework integrating Egypt Vision 2030 with the government program. The framework translates sectoral strategies and policies into clear indicators and targets, and promotes a shift in Egypt’s growth model toward greater production and export-oriented growth.

She further explained that the state applies a programs-and-performance methodology to strengthen monitoring, performance evaluation, and periodic review of national, sectoral, and regional policies and objectives through the Performance System. This ensures that all units provide necessary data and information to monitor and evaluate programs, projects, and activities, improving the effectiveness of development plans, achieving targets, and ensuring efficient public spending by linking allocated funds to the desired results.

In a related context, Dr. Al-Mashat discussed the government’s efforts to implement the State Ownership Policy Document to empower the private sector and the establishment of the State-Owned Companies Unit, which maximizes the benefits of state-owned enterprises. The unit has clear authority to implement the most appropriate scenarios for these companies.

The Ministry also presented reforms aimed at enhancing resilience and flexibility, including the addition of two new projects under the New and Renewable Energy (NWFE) program. The progress of climate-responsive public investment management reforms was also reviewed, particularly regarding the integration of environmental considerations into project evaluation and selection criteria, assessing climate-related risks to investment assets, developing mitigation measures, and increasing the number of green projects listed on the NWFE platform.

Dr. Al-Mashat affirmed that the government continues to implement reforms to boost growth, enhance economic resilience, achieve sustainable development, and create employment opportunities.